Micron will issue 140 million shares to Numonyx shareholders, Intel ( INTC), STMicroelectronics ( STM) and Francisco Partners. An additional 10 million shares will be issued ratably to Numonyx shareholders under certain conditions.

Micron, in a statement announcing the transaction, said the merger "strengthens Micron's position as one of the world's leading memory companies" with a broad portfolio of DRAM, NAND and NOR memory products. The deal also would help Micron gain "increased manufacturing scale globally," the company said.